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Press Release

Signature Bank Reports 2008 Fourth Quarter and Year-End Results

Net Income Available to Common Shareholders ("Net Income") for the Quarter Reached $13.1 Million, or $0.37 Diluted Earnings Per Share; Excluding the After-Tax Effect of a $6.9 Million Other Than Temporary Impairment ("OTTI") Write-Down on Investment Securities, Net Income Was $16.9 Million or $0.48 Diluted Earnings Per Share; Compares with Net Loss of $3.0 Million or $0.10 Diluted Loss Per Share for the 2007 Fourth Quarter; Excluding the After-Tax Effect of OTTI on Securities in the 2007 Fourth Quarter, Net Income Was $8.9 Million, or $0.30 Diluted Earnings Per Share Net Income for 2008 Was $43.0 Million or $1.35 Diluted Earnings Per Share, Versus $27.3 Million or $0.91 Diluted Earnings Per Share in 2007, an Increase of $15.7 Million or 57.5 Percent; Excluding the After-Tax Effect of OTTI on Securities for 2008 and 2007, Net Income for 2008 Was $52.2 Million or $1.64 Diluted Earnings Per Share, Versus $39.2 Million or $1.30 Diluted Earnings Per Share in 2007, an Increase of $13.0 Million or 33.1 Percent Bank Completes $120.0 Million Offering from Sale of 120,000 Senior Preferred Shares Through U.S. Department of Treasury's Capital Purchase Program; This Follows Successful Common Stock Offering of $148.0 Million in September 2008 Tier 1 Leverage Capital Ratio Climbs to 10.61 Percent and Total Risk Weighted Capital to 17.83 Percent, Nearly Twice the Capital Required to Meet FDIC "Well Capitalized" Standards and among Highest in the Industry Deposits in the Fourth Quarter Rose $422.6 Million Reaching $5.39 Billion; Includes Core Deposit Growth of $213.8 Million and an Increase of $65.6 Million in Short-Term Escrow Deposits and $143.2 Million in Brokered Deposits Deposits for 2008 Increased $876.0 Million Compared with 2007. Core Deposits (Excluding Short-Term Escrow and Brokered Deposits) Rose $649.4 Million, or 14.9 Percent. Average Deposits Were $4.75 Billion, Representing an Increase of $619.8 Million, or 15.0 Percent, When Compared with $4.13 Billion Last Year Loans Grew $385.6 Million, or 12.5 Percent, to $3.47 Billion for the Quarter. Loans Increased $1.44 Billion, or 71.3 Percent, since Year-End 2007; Growth Attributed to Commercial Real Estate and Multi-Family Loans Non-Performing Loans Remained Stable at $31.9 Million, or 0.92 Percent of Total Loans at December 31, 2008, Compared to $30.8 Million, or 1.00 Percent at the End of the 2008 Third Quarter Net Interest Margin on a Tax-Equivalent Basis Expanded 25 Basis Points Compared with 2008 Third Quarter, Reaching All-Time High of 3.51 Percent. 2008 Fourth Quarter Net Interest Margin Increased 70 Basis Points over Prior Year Two Private Client Banking Teams Joined During the Quarter and Six New Teams Added for the Year; One Office Opened in the Fourth Quarter and Two Opened for the Year

Company Release - 1/29/2009 5:00 AM ET

NEW YORK--(BUSINESS WIRE)-- Signature Bank (Nasdaq: SBNY), a New York-based full-service commercial bank, today announced results for its fourth quarter and year ended December 31, 2008.

Net income for the quarter was $13.1 million, or $0.37 diluted earnings per share, compared with a net loss of $3.0 million, or $0.10 diluted loss per share, for the 2007 fourth quarter. The 2008 fourth quarter results include a $6.9 million other than temporary impairment ("OTTI") write-down on two bank pooled trust preferred securities and one asset-backed security. Excluding the after-tax effects of impairment write-downs on securities for the fourth quarters of 2008 and 2007 of $6.9 million and $21.4 million, respectively, net income for the 2008 fourth quarter would have been $16.9 million, or $0.48 diluted earnings per share, compared with net income of $8.9 million, or $0.30 diluted earnings per share for the 2007 fourth quarter.

The increase in net income for the 2008 fourth quarter versus the same period last year is attributable to numerous factors, including an increase in loans as a percentage of assets, deposit growth, net interest margin expansion and increased non-interest income (excluding the securities write-down). These factors were partially offset by increases in non-interest expense and the provision for loan losses.

Net interest income for the 2008 fourth quarter reached $58.9 million, up $20.8 million, or 54.7 percent, versus the comparable period last year. Total assets were $7.19 billion at December 31, 2008, up $1.35 billion, or 23.0 percent, over the $5.85 billion for year-end 2007. Average assets for the 2008 fourth quarter reached $7.14 billion, an increase of $1.41 billion, or 24.6 percent, from the 2007 fourth quarter.

Deposits rose $422.6 million in the fourth quarter of 2008 to $5.39 billion at December 31, 2008. This includes core deposit growth of $213.8 million, coupled with an increase of $65.6 million in short-term escrow deposits and $143.2 million in brokered deposits. Overall deposit growth for 2008 was 19.4 percent or $876.0 million when compared with the end of 2007. Excluding brokered deposits and short-term escrow deposits of $145.5 million at year-end 2007 and $372.1 million at year-end 2008, core deposits increased $649.4 million or 14.9 percent in 2008. Average total deposits for 2008 were $4.75 billion, up $619.8 million or 15.0 percent versus average total deposits of $4.13 billion for 2007.

For the year ended December 31, 2008, net income totaled $43.0 million or $1.35 diluted earnings per share, compared with $27.3 million, or $0.91 diluted earnings per share for 2007, an increase of $15.7 million or 57.5 percent. Excluding the after-tax effects of impairment write-downs on securities for the years 2008 and 2007 of $16.5 million and $21.4 million, respectively, net income for 2008 was $52.2 million, or $1.64 diluted earnings per share, compared with net income for 2007 of $39.2 million or $1.30 diluted earnings per share.

"Signature Bank has remained focused on doing what we do best as the banking sector, including our Bank, attempts to tackle the economic uncertainty that lies ahead. We built this bank for the depositor and our client-centric focus has allowed us to repeatedly deliver solid financial performance. During the 2008 fourth quarter and year, we delivered strong core deposit and loan growth and record earnings performance. We also expanded our network with the addition of new private client banking teams and the opening of offices. We are continually encouraged that our clients recognize Signature Bank as a safe place to deposit their funds," said Joseph J. DePaolo, Signature Bank's President and Chief Executive Officer.

Scott A. Shay, Chairman of the Board, added: "Signature Bank is navigating through these treacherous times by holding fast to our core principle of focusing foremost on depositor safety. Maintaining our strength and durability across cycles is the key to building client trust as well as shareholder value. We are dedicated to building a reputation as a bank for all seasons. Our financial results demonstrate our fidelity to conservative asset liability management, appropriate credit standards and prudent operational controls."

Capital

Signature Bank's already strong capital ratios, which are among the highest in the industry, were further strengthened by the completion of a $120.0 million offering from the sale of 120,000 senior preferred shares and the issuance of warrants to purchase 595,829 common shares through the U.S. Department of Treasury's Capital Purchase Program in the fourth quarter of 2008 and a successful public offering of $148.0 million of common stock during the 2008 third quarter. The Bank's tier 1 risk-based, total risk-based and leverage capital ratios were approximately 17.00 percent, 17.83 percent and 10.61 percent, respectively, as of December 31, 2008, well in excess of regulatory requirements. The risk-based ratios also reflect the relatively low risk profile of the balance sheet.

Net Interest Income

Net interest income on a tax-equivalent basis for the 2008 fourth quarter was $58.9 million, up $20.6 million, or 53.7 percent, from same period last year. Average interest-earning assets for the 2008 fourth quarter grew $1.25 billion, or 23.1 percent from the 2007 fourth quarter. Yield on interest earning assets for the 2008 fourth quarter decreased 43 basis points, to 5.46 percent, compared with the fourth quarter of 2007. The decrease was primarily due to lower prevailing interest rates.

Average costs of deposits and average costs of funds for the 2008 fourth quarter decreased by 121 and 113 basis points to 1.73 and 2.05 percent, respectively, versus the 2007 fourth quarter. These decreases are predominantly due to lower prevailing interest rates.

Net interest income on a tax-equivalent basis for the year ended December 31, 2008 was $195.6 million, up $48.5 million, or 33.0 percent, from last year.

The net interest margin on a tax-equivalent basis for 2008 fourth quarter increased 70 basis points to a record 3.51 percent when compared with the same period a year ago. On a linked quarter basis, net interest margin on a tax-equivalent basis grew 25 basis points. The linked quarter expansion was primarily driven by a 14 basis point expansion in the average asset yield predominantly due to an increase in loans as a percentage of assets. Also, during the fourth quarter of 2008, the Bank recognized $1.7 million in interest income from the accretion of discounts on securities previously impaired. Additionally, borrowing costs declined 62 basis points due to lower prevailing interest rates. The net interest margin on a tax-equivalent basis for the year rose 37 basis points to 3.25 percent. This growth is mostly due to an increase in loans as a percentage of assets and a decrease of 92 basis points in the Bank's cost of funds.

Provision for Loan Losses

The provision for loan losses for the fourth quarter of 2008 was $8.7 million, an increase of $1.7 million, or 24 percent, compared to the same period last year. For the year ended December 31, 2008, the provision for loan losses was $26.9 million, an increase of $14.6 million, or 118.3 percent, when compared to the previous year. The increases are primarily driven by the growth in the loan portfolio, combined with an increase in provisions for the deteriorating economic environment.

Non-Interest Income and Non-Interest Expense

Non-interest income for the fourth quarter of 2008 was $4.3 million, an increase of $17.3 million versus the loss of $13.0 million reported in the 2007 fourth quarter. For 2008, non-interest income was $27.6 million versus $8.7 million reported last year, representing an increase of $18.9 million. The increase for the quarter and year was predominantly due to an increase in commissions, mostly associated with off-balance money market deposits and increased brokerage activities, and a decrease in write-downs for other than temporary impairment of securities. Excluding the effect of OTTI write-downs in the 2008 and 2007 fourth quarters, non-interest income for the 2008 fourth quarter would have been $11.2 million, an increase of $2.8 million or 33.5 percent versus the 2007 fourth quarter. In the 2008 fourth quarter, the bank incurred an OTTI write-down of $6.6 million on two bank pooled trust preferred securities with an original book value of $10.0 million and a fair value of $3.4 million. Additionally, the Bank incurred an OTTI write-down of $295,000 on one asset-backed security with an original book value of $797,000 and a fair value of $502,000.

Non-interest expense for the fourth quarter of 2008 was $31.8 million, an increase of $6.7 million, or 26.7 percent, versus $25.1 million reported in the 2007 fourth quarter. For the year, non-interest expense was $123.8 million, up $24.8 million or 25.0 percent when compared with 2007. The increase for the quarter and year was primarily due to the addition of new private client banking teams and offices, growth in client activity, and additional costs related to FDIC deposit assessment fees and the FDIC deposit guarantee program.

The Bank's efficiency ratio was 50.3 percent for the fourth quarter of 2008 versus 100.0 percent for the 2007 fourth quarter. Excluding the impairment write-downs in the fourth quarters of 2008 and 2007, the efficiency ratio improved to 45.3 percent in the fourth quarter of 2008 from 53.9 percent in the fourth quarter of 2007. Excluding the impairment write-downs for the years 2008 and 2007, the efficiency ratio improved to 51.7 percent for 2008 compared to 56.0 percent for 2007. The improvements for the quarter and year were primarily due to growth in net interest income and non-interest income, coupled with expense containment.

Loans

Loans, excluding loans held for sale, increased $385.6 million, or 12.5 percent, in the 2008 fourth quarter to $3.47 billion at December 31, 2008, versus $3.08 billion at September 30, 2008. For 2008, loans increased $1.44 billion, or 71.3 percent. At December 31, 2008, loans were 48.3 percent of total assets, compared with 46.0 percent at the end of the 2008 third quarter and 34.7 percent at the end of 2007. Average loans, excluding loans held for sale, reached $3.32 billion in the 2008 fourth quarter, up $440.9 million, or 15.3 percent, from third quarter of 2008 and an increase of $1.33 billion, or 66.5 percent, from the 2007 fourth quarter. The increase in loans for the quarter and the year was driven by growth in commercial real estate and multi-family loans.

At December 31, 2008, non-performing loans were $31.9 million, representing 0.92 percent of total loans and 0.44 percent of total assets, compared with non-performing loans of $30.8 million, or 1.0 percent of total loans, at September 30, 2008. At the end of the 2008 fourth quarter, the ratio of allowance for loan losses to total loans was at 1.07 percent, compared with 1.00 percent at September 30, 2008 and 0.90 percent at December 31, 2007.

Conference Call

Signature Bank's management will host a conference call to review results of the 2008 fourth quarter and year-end on Thursday, January 29, 2009, at 10:00 AM ET. All participants should dial 303-262-2130 at least ten minutes prior to the start of the call.

To hear a live web simulcast or to listen to the archived web cast following completion of the call, please visit the Bank's web site at www.signatureny.com, click on the "Investor Relations" tab, then select "Company News," followed by "Conference Calls," to access the link to the call. To listen to a telephone replay of the conference call, please dial 303-590-3000 and enter reservation identification number 11125498. The replay will be available from approximately 12:00 PM ET on Thursday, January 29, 2009, through 11:59 PM ET on Tuesday, February 3, 2009.

About Signature Bank

Signature Bank, member FDIC, is a New York-based full-service commercial bank with 22 private client offices located in the New York metropolitan area, serving the needs of privately owned businesses, their owners and senior managers through dozens of private client groups. The Bank offers a wide variety of business and personal banking products and services as well as investment, brokerage, asset management and insurance products and services through its subsidiary, Signature Securities Group Corporation, a licensed broker-dealer, investment adviser and member NASD/SIPC.

Signature Bank's 22 offices are located throughout the metropolitan New York area. In Manhattan - 261 Madison Avenue; 300 Park Avenue; 71 Broadway; 565 Fifth Avenue; 950 Third Avenue; 200 Park Avenue South and 1020 Madison Avenue. Brooklyn - 26 Court Street; 84 Broadway and 6321 New Utrecht Avenue. Westchester - 1C Quaker Ridge Road, New Rochelle and 360 Hamilton Avenue, White Plains. Long Island - 1225 Franklin Avenue, Garden City; 279 Sunrise Highway, Rockville Centre; 68 South Service Road, Melville; 923 Broadway, Woodmere; 40 Cuttermill Road, Great Neck and 100 Jericho Quadrangle, Jericho. Queens - 36-36 33rd Street, Long Island City and 78-27 37th Avenue, Jackson Heights. Bronx - 421 Hunts Point Avenue, Bronx. Staten Island - 2066 Hylan Blvd.

For more information, please visit www.signatureny.com.

This press release and oral statements made from time to time by our representatives contain "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 that are subject to risks and uncertainties. Forward-looking statements include information concerning our future results, interest rates and the interest rate environment, loan and deposit growth, loan performance, operations, new private client team hires, new office openings and business strategy. These statements often include words such as "may," "believe," "expect," "anticipate," "intend," "plan," "estimate" or other similar expressions. As you consider forward-looking statements, you should understand that these statements are not guarantees of performance or results. They involve risks, uncertainties and assumptions that could cause actual results to differ materially from those in the forward-looking statements. These factors include but are not limited to: (i) prevailing economic conditions; (ii) the severe crisis in global credit and financial markets and the resulting government intervention in the banking sector, which are having unprecedented effects on our competitors, or clients, and the regulatory environment; (iii) changes in interest rates, loan demand, real estate values, and competition, which can materially affect origination levels and gain on sale results in our business, as well as other aspects of our financial performance; (iv) the level of defaults, losses and prepayments on loans made by us, whether held in portfolio or sold in the whole loan secondary markets, which can materially affect charge-off levels and required credit loss reserve levels; and (v) competition for qualified personnel and desirable office locations. Additional risks are described in our quarterly and annual reports filed with the FDIC. You should keep in mind that any forward-looking statements made by Signature Bank speak only as of the date on which they were made. New risks and uncertainties come up from time to time, and we cannot predict these events or how they may affect the Bank. Signature Bank has no duty to, and does not intend to, update or revise the forward-looking statements after the date on which they are made. In light of these risks and uncertainties, you should keep in mind that any forward-looking statement made in this release or elsewhere might not reflect actual results.


SIGNATURE BANK

CONSOLIDATED STATEMENTS OF
OPERATIONS

(unaudited)

                                  Three months ended       Year ended

                                  December 31,             December 31,

(dollars in thousands, except     2008         2007        2008        2007
per share amounts)

INTEREST AND DIVIDEND INCOME

Loans held for sale               $ 1,831      1,322       5,596       5,341

Loans, net                        48,121       35,785      160,147     134,240

Securities available-for-sale     38,396       37,155      141,441     141,710

Securities held-to-maturity       3,164        4,123       13,153      15,624

Other short-term investments      134          1,856       3,127       4,690

 Total interest income            91,646       80,241      323,464     301,605

INTEREST EXPENSE

Deposits                          21,550       33,194      87,750      115,959

Federal funds purchased and
securities sold under

agreements to repurchase          7,786        6,711       28,867      27,543

Federal Home Loan Bank advances   3,343        2,195       11,384      10,215

Other short-term borrowings       66           68          192         1,098

 Total interest expense           32,745       42,168      128,193     154,815

Net interest income before        58,901       38,073      195,271     146,790
provision for loan losses

Provision for loan losses         8,670        6,994       26,888      12,316

Net interest income after         50,231       31,079      168,383     134,474
provision for loan losses

NON-INTEREST INCOME

Commissions                       5,893        3,570       19,941      12,699

Fees and service charges          3,481        3,341       13,749      12,288

Net gains on sales of             1,675        868         8,315       2,767
securities and loans

Write-down for other than
temporary impairment of           (6,930   )   (21,404 )   (16,543 )   (21,404 )
securities

Other income                      194          642         2,183       2,396

 Total non-interest income        4,313        (12,983 )   27,645      8,746

NON-INTEREST EXPENSE

Salaries and benefits             18,314       14,892      73,888      59,464

Occupancy and equipment           3,418        2,874       13,304      10,452

Other general and                 10,051       7,312       36,628      29,146
administrative

 Total non-interest expense       31,783       25,078      123,820     99,062

Income (loss) before income       22,761       (6,982  )   72,208      44,158
taxes

Income tax expense (benefit)      9,300        (3,954  )   28,849      16,879

Net income (loss)                 13,461       (3,028  )   43,359      27,279

Dividends on preferred stock      390          -           390         -
and related adjustments

Net income (loss) available to    $ 13,071     (3,028  )   42,969      27,279
common shareholders

PER COMMON SHARE DATA

Earnings (loss) per share -       $ 0.37       (0.10   )   1.37        0.92
basic

Earnings (loss) per share -       $ 0.37       (0.10   )   1.35        0.91
diluted




SIGNATURE BANK

CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION

                                                    December 31,    December 31,

                                                    2008            2007

(dollars in thousands, except per share amounts)    (unaudited)

ASSETS

Cash and due from banks                             $ 111,927       107,788

Short-term investments                              4,330           131,241

Total cash and cash equivalents                     116,257         239,029

Securities available-for-sale (pledged $1,812,790
and $1,372,380

at December 31, 2008 and 2007)                      2,906,059       2,805,711

Securities held-to-maturity (fair market value
$230,539 and

$335,905 at December 31, 2008 and 2007; pledged
$148,239 and

$136,443 at December 31, 2008 and 2007)             236,531         339,441

Federal Home Loan Bank stock                        18,411          14,687

Loans held for sale                                 217,680         172,367

Loans, net                                          3,433,555       2,007,342

Premises and equipment, net                         33,221          27,107

Accrued interest and dividends receivable           36,326          32,796

Other assets                                        194,159         206,692

Total assets                                        $ 7,192,199     5,845,172

LIABILITIES AND SHAREHOLDERS' EQUITY

Deposits

Non-interest-bearing                                1,563,407       1,298,568

Interest-bearing                                    3,824,479       3,213,322

Total deposits                                      5,387,886       4,511,890

Federal funds purchased and securities sold under
agreements

to repurchase                                       785,000         612,000

Federal Home Loan Bank advances                     260,000         195,000

Other short-term borrowings                         4,900           9,932

Accrued expenses and other liabilities              56,279          90,594

Total liabilities                                   6,494,065       5,419,416

Shareholders' equity

Preferred stock, par value $.01; 61,000,000
shares authorized;

120,000 shares with $1,000 liquidation value
issued and

outstanding at December 31, 2008, net of warrant
value;

61,000,000 shares unissued at December 31, 2007     109,314         -

Common stock, par value $.01; 64,000,000 shares
authorized;

35,244,946 and 29,696,212 shares issued and
outstanding

at December 31, 2008 and 2007                       352             297

Additional paid-in capital                          534,458         370,139

Retained earnings                                   116,706         73,442

Net unrealized depreciation on securities           (62,696     )   (18,122   )
available-for-sale, net of tax

Total shareholders' equity                          698,134         425,756

Total liabilities and shareholders' equity          $ 7,192,199     5,845,172




SIGNATURE BANK

FINANCIAL SUMMARY, CAPITAL
RATIOS, ASSET QUALITY

(unaudited)

                  Three months ended           Year ended

(dollars in
thousands,        December 31,  December 31,                      December 31,
except ratios     2008          2007           December 31, 2008  2007
and per share
amounts)

PER COMMON SHARE

Net income        $ 0.37        $ (0.10 )      $ 1.37             $ 0.92
(loss) - basic

Net income        $ 0.37        $ (0.10 )      $ 1.35             $ 0.91
(loss) - diluted

Average shares
outstanding -     35,208        29,694         31,390             29,672
basic

Average shares
outstanding -     35,622        30,133         31,768             30,092
diluted

Book value        $ 16.71       $ 14.34        $ 16.71            $ 14.34

SELECTED
FINANCIAL DATA

Return on
average total     0.75    %     (0.21   )%     0.68     %         0.50    %
assets

Return on
average           8.46    %     (2.84   )%     7.72     %         6.67    %
shareholders'
equity

Return on
average common    9.07    %     (2.84   )%     8.56     %         6.67    %
shareholders'
equity

Efficiency ratio  50.28   %     99.95   %      55.55    %         63.69   %
(1)

Efficiency ratio
excluding
write-down for
other than        45.31   %     53.94   %      51.71    %         55.99   %
temporary
impairment of
securities (1)

Yield on
interest-earning  5.46    %     5.87    %      5.38     %         5.89    %
assets

Yield on
interest-earning
assets,           5.46    %     5.89    %      5.38     %         5.90    %
tax-equivalent
basis (2)

Cost of deposits  2.05    %     3.18    %      2.20     %         3.12    %
and borrowings

Net interest      3.51    %     2.79    %      3.25     %         2.87    %
margin

Net interest
margin,           3.51    %     2.81    %      3.25     %         2.88    %
tax-equivalent
basis (2)

(1) The efficiency ratio is calculated by dividing non-interest expense by the
sum of net interest income before provision for loan losses and other
non-interest income.

(2) Presented using a 35 percent federal tax rate.

                  December 31,  September 30,  December 31, 2007
                  2008          2008

CAPITAL RATIOS

Tier one          10.61   %     9.64    %      7.75     %
leverage

Tier one          17.00   %     15.35   %      14.82    %
risk-based

Total risk-based  17.83   %     16.11   %      15.43    %

ASSET QUALITY

Non-performing    $             $              $ 18,559
loans             31,885        30,824

Allowance for     $             $              $ 18,236
loan losses       36,987        30,973

Allowance for
loan losses to    116.00  %     100.48  %      98.26    %
non-performing
loans

Allowance for
loan losses to    1.07    %     1.00    %      0.90     %
total loans

Non-performing
loans to total    0.92    %     1.00    %      0.92     %
loans

Quarterly net
charge-offs to    0.32    %     0.36    %      0.47     %
average loans
(annualized)




SIGNATURE BANK

NET INTEREST MARGIN
ANALYSIS

(unaudited)

                      Three months ended            Three months ended

                      December 31, 2008             December 31, 2007

(dollars in           Average    Interest  Average  Average    Interest  Average
thousands)            Balance    Income/   Yield/   Balance    Income/   Yield/
                                 Expense   Rate                Expense   Rate

INTEREST-EARNING
ASSETS

Short-term            $ 35,766   84        0.93%    128,303    1,540     4.76%
investments

Investment            3,115,079  41,610    5.34%    3,212,769  41,594    5.18%
securities

Commercial loans and
commercial            3,003,869  42,879    5.68%    1,703,692  30,380    7.07%

mortgages (1)

Residential           179,722    2,534     5.64%    174,165    2,470     5.67%
mortgages

Consumer loans        139,497    2,733     7.79%    117,667    3,202     10.80%

Loans held for sale   200,480    1,831     3.63%    84,881     1,322     6.18%

Total
interest-earning      6,674,413  91,671    5.46%    5,421,477  80,508    5.89%
assets

Non-interest-earning  466,907                       311,119
assets

Total assets          $                             5,732,596
                      7,141,320

INTEREST-BEARING
LIABILITIES

Interest-bearing
deposits

NOW and
interest-bearing      335,791    1,632     1.93%    299,327    2,265     3.00%
checking

Money market          2,573,205  15,372    2.38%    2,554,653  26,429    4.10%
accounts

Time deposits         578,890    4,546     3.12%    370,090    4,500     4.82%

Non-interest-bearing  1,459,756  -         -        1,251,129  -         -
deposits

Total deposits        4,947,642  21,550    1.73%    4,475,199  33,194    2.94%

Borrowings            1,417,128  11,195    3.14%    781,551    8,974     4.56%

Total deposits and    6,364,770  32,745    2.05%    5,256,750  42,168    3.18%
borrowings

Other
non-interest-bearing  776,550                       475,846
liabilities and
shareholders' equity

Total liabilities     $
and shareholders'     7,141,320                     5,732,596
equity

OTHER DATA

Tax-equivalent basis

Net interest income
/ interest rate                  58,926    3.41%               38,340    2.71%
spread

Net interest margin                        3.51%                         2.81%

Tax-equivalent
adjustment / effect

Net interest income
/ interest rate                  (25)      (0.00)%             (267)     (0.02)%
spread

Net interest margin                        (0.00)%                       (0.02)%

As reported

Net interest income
/ interest rate                  58,901    3.41%               38,073    2.69%
spread

Net interest margin                        3.51%                         2.79%

Ratio of average
interest-earning
assets to average                          104.86%                       103.13%
interest-bearing
liabilities

(1) Includes interest income on certain tax-exempt assets presented on a
tax-equivalent basis using a 35 percent federal tax rate.




SIGNATURE BANK

NET INTEREST MARGIN
ANALYSIS

(unaudited)

                      Year ended                    Year ended

                      December 31, 2008             December 31, 2007

(dollars in           Average    Interest  Average  Average    Interest  Average
thousands)            Balance    Income/   Yield/   Balance    Income/   Yield/
                                 Expense   Rate                Expense   Rate

INTEREST-EARNING
ASSETS

Short-term            $ 77,656   2,105     2.71%    67,695     3,435     5.07%
investments

Investment            3,121,478  155,616   4.99%    3,166,886  158,589   5.01%
securities

Commercial loans and
commercial            2,379,967  139,198   5.85%    1,508,236  111,693   7.41%

mortgages (1)

Residential           177,138    10,072    5.69%    171,193    9,705     5.67%
mortgages

Consumer loans        125,451    11,184    8.92%    120,537    13,109    10.88%

Loans held for sale   134,990    5,596     4.15%    84,661     5,341     6.31%

Total
interest-earning      6,016,680  323,771   5.38%    5,119,208  301,872   5.90%
assets

Non-interest-earning  359,626                       299,206
assets

Total assets          $                             5,418,414
                      6,376,306

INTEREST-BEARING
LIABILITIES

Interest-bearing
deposits

NOW and
interest-bearing      312,469    6,729     2.15%    292,305    6,460     2.21%
checking

Money market          2,607,894  66,090    2.53%    2,245,086  92,322    4.11%
accounts

Time deposits         440,483    14,931    3.39%    352,869    17,177    4.87%

Non-interest-bearing  1,390,712  -         -        1,241,491  -         -
deposits

Total deposits        4,751,558  87,750    1.85%    4,131,751  115,959   2.81%

Borrowings            1,073,199  40,443    3.77%    831,364    38,856    4.67%

Total deposits and    5,824,757  128,193   2.20%    4,963,115  154,815   3.12%
borrowings

Other
non-interest-bearing  551,549                       455,299
liabilities and
shareholders' equity

Total liabilities     $
and shareholders'     6,376,306                     5,418,414
equity

OTHER DATA

Tax-equivalent basis

Net interest income
/ interest rate                  195,578   3.18%               147,057   2.78%
spread

Net interest margin                        3.25%                         2.88%

Tax-equivalent
adjustment / effect

Net interest income
/ interest rate                  (307)     (0.00)%             (267)     (0.01)%
spread

Net interest margin                        (0.00)%                       (0.01)%

As reported

Net interest income
/ interest rate                  195,271   3.18%               146,790   2.77%
spread

Net interest margin                        3.25%                         2.87%

Ratio of average
interest-earning
assets to average                          103.29%                       103.15%
interest-bearing
liabilities

(1) Includes interest income on certain tax-exempt assets presented on a
tax-equivalent basis using a 35 percent federal tax rate.




SIGNATURE BANK

NON-GAAP DISCLOSURE RECONCILIATION

(unaudited)

Management believes that the presentation of the non-GAAP financial measures
in this release assists investors when comparing results period-to-period in
a more consistent manner and provides a better measure of Signature's
results. The following table reconciles net income (loss) available to common
shareholders (as reported) to net income available to common shareholders
excluding the after tax-effect of write-downs for other than temporary
impairment of securities.

                                       Three months ended  Year ended

                                       December 31,        December 31,

(dollars in thousands)                 2008      2007      2008      2007

Net income (loss) available to common  13,071    (3,028 )  42,969    27,279
shareholders (as reported)

Write-down for other than temporary    6,930     21,404    16,543    21,404
impairment of securities

Tax effect                             (3,064 )  (9,458 )  (7,317 )  (9,458 )

Net income available to common
shareholders - excluding after-tax     16,937    8,918     52,195    39,225
effect of write-down for other than
temporary impairment of securities




    Source: Signature Bank
Contact: Signature Bank Investor Contact: Eric R. Howell, 646-822-1402 Chief Financial Officer ehowell@signatureny.com or Media Contact: Susan J. Lewis, 646-822-1825 slewis@signatureny.com